Birks Group Inc.
Birks Group Inc. Fundamental Analysis
Birks Group Inc. (BGI) shows strong financial fundamentals with a PE ratio of -1.68, profit margin of -6.43%, and ROE of 63.94%. The company generates $0.2B in annual revenue with strong year-over-year growth of 13.70%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 134.1/100 based on profitability, valuation, growth, and balance sheet metrics. The A grade reflects excellent fundamentals and strong overall stability.
Fundamental Health Score
We analyze BGI's fundamental strength across five key dimensions:
Efficiency Score
WeakBGI struggles to generate sufficient returns from assets.
Valuation Score
ExcellentBGI trades at attractive valuation levels.
Growth Score
ExcellentBGI delivers strong and consistent growth momentum.
Financial Health Score
ModerateBGI shows balanced financial health with some risks.
Profitability Score
WeakBGI struggles to sustain strong margins.
Key Financial Metrics
Is BGI Expensive or Cheap?
P/E Ratio
BGI trades at -1.68 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, BGI's PEG of -0.27 indicates potential undervaluation.
Price to Book
The market values Birks Group Inc. at -1.01 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -20.87 times EBITDA. This is generally considered low.
How Well Does BGI Make Money?
Net Profit Margin
For every $100 in sales, Birks Group Inc. keeps $-6.43 as profit after all expenses.
Operating Margin
Core operations generate -2.84 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $63.94 in profit for every $100 of shareholder equity.
ROA
Birks Group Inc. generates $-5.78 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Birks Group Inc. generates limited operating cash flow of $-2.75M, signaling weaker underlying cash strength.
Free Cash Flow
Birks Group Inc. generates weak or negative free cash flow of $-6.30M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.32 in free cash annually.
FCF Yield
BGI converts -30.42% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-1.68
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.27
vs 25 benchmark
P/B Ratio
Price to book value ratio
-1.01
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.11
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-8.13
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.88
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.64
vs 25 benchmark
ROA
Return on assets percentage
-0.06
vs 25 benchmark
ROCE
Return on capital employed
-0.09
vs 25 benchmark
How BGI Stacks Against Its Sector Peers
| Metric | BGI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -1.68 | 25.08 | Better (Cheaper) |
| ROE | 63.94% | 1151.00% | Weak |
| Net Margin | -6.43% | 675.00% | Weak |
| Debt/Equity | -8.13 | 0.70 | Strong (Low Leverage) |
| Current Ratio | 0.88 | 3.94 | Weak Liquidity |
| ROA | -5.78% | -8240.00% (disorted) | Weak |
BGI outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Birks Group Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
15.50%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
78.10%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
96.61%
Industry Style: Cyclical, Growth, Discretionary
High Growth